Protective Life to acquire AXA life insurance unit for $1.06 billion

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Protective Life Corp (PLN) is set to acquire Mony Life Insurance Company from parent AXA SA for $1.06 billion to access its life insurance policies portfolio.

According to Protective Life chief executive John Johns, the deal could add about $0.10 to $0.15 to its earnings per share in 2013, and around $0.55 to $0.65 per share in 2014.

Sources said that as early as last month, industry experts knew Protective Life was the leading candidate to buy U.S. life insurance assets from AXA.

The insurance companyAXA had been expanding into emerging markets while scaling back its presence in North America due to underperformance in the region.

Protective Life's total investment including a capital surplus of $303 million amounted to about $1.09 billion.

Protective Life's financial advisers for the deal are Willkie Farr & Gallagher LLP and Barclays PLC.

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